How Ubisoft Entertainment’s Removal From Euronext 150 Index (ENXTPA:UBI) Has Changed Its Investment Story

• Ubisoft Entertainment SA was recently removed from the Euronext 150 Index, a key benchmark tracking the largest companies listed on Euronext stock exchanges.
• This removal often triggers changes in investor behavior, as index exclusions can prompt institutional investors to reassess portfolio allocations and overall sentiment.
• We’ll explore how Ubisoft’s removal from the Euronext 150 Index may influence its long-term investment outlook and perception among institutional investors.

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Ubisoft Entertainment Investment Narrative Recap

To be a Ubisoft shareholder, you need conviction in its ability to revitalize growth through major franchise launches and international partnerships, even as the business faces earnings volatility and heightened competition. The recent removal from the Euronext 150 Index is unlikely to materially affect short-term revenue drivers, with game releases like Assassin’s Creed Shadows remaining the primary catalyst, while investor focus may shift toward liquidity and institutional support as a risk.

A key recent announcement relevant to this context is Ubisoft’s March 2025 creation of a new subsidiary for flagship franchises, coinciding with a substantial investment from Tencent. While index removal could temporarily influence institutional flows, the expanded Tencent partnership underscores a broader aim to boost franchise value and tap into new markets, both essential for near-term momentum.

By contrast, investors should be mindful of how reliance on a few big titles poses a risk to future performance if...

Read the full narrative on Ubisoft Entertainment (it's free!)

Ubisoft Entertainment's outlook anticipates €2.2 billion in revenue and €96.9 million in earnings by 2028. Achieving this would require a 5.6% annual revenue growth rate and an earnings increase of €255.9 million from the current earnings of €-159.0 million.

Uncover how Ubisoft Entertainment's forecasts yield a €12.49 fair value, a 90% upside to its current price.

Exploring Other Perspectives

Fourteen separate fair value estimates from the Simply Wall St Community put Ubisoft’s potential worth anywhere between €7.21 and €72.05. With unprofitability and shifting index status adding complexity, you can explore a wide range of investor expectations and alternative outlooks for the company here.

Explore 14 other fair value estimates on Ubisoft Entertainment - why the stock might be worth over 10x more than the current price!

Build Your Own Ubisoft Entertainment Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your Ubisoft Entertainment research is our analysis highlighting 2 key rewards and 1 important warning sign that could impact your investment decision.
• Our free Ubisoft Entertainment research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Ubisoft Entertainment's overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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